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Japanese business confidence 'at all-time low'

Business confidence among Japanese companies has reached a new low, it has been claimed.

According to reports by the Japan Times, the confidence slump occurred during the first quarter of 2008.

These findings are the result of a study by Japan's cabinet office in partnership with the finance ministry and are the lowest figures recorded since 2004, when officials began collating statistics.

"The sectors which saw major declines in their business confidence in the January to March period are expected to recover later, with the impact of higher raw material prices projected to be smaller," said a government official.

It is believed that the slump in confidence is a product of rises in the price of oil, nervousness in relation to the worldwide economy and rises in the price of raw materials.

In related economic news, a report by the Financial Times has found that, despite Japan's economic recovery, over the last six years a majority of salaries in Japan have fallen.

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